Development fees: impact fee nexus studies: connection fees and capacity charges.

The Mitigation Fee Act requires a local agency that establishes, increases, or imposes a fee as a condition of approval of a development project to, among other things, determine a reasonable relationship between the fee's use and the type of development project on which the fee is imposed. Existing law requires a local agency that conducts an impact fee nexus study to follow certain standards and practices, as specified. Existing law also requires a local agency to hold at least one open and public meeting prior to levying a new fee or service charge, as specified. This bill would require a local agency, prior to levying a new fee or capacity charge or approving an increase in an existing fee or capacity charge, to evaluate the amount of the fee or capacity charge. The bill would require the evaluation to include evidence to support that the fee or capacity charge does not exceed the estimated reasonable cost of providing service, as specified. The bill would require all information constituting the evaluation to be made publicly available at least 14 days prior to a specified meeting. Existing law requires a local agency that conducts an impact fee nexus study to follow specified standards and practices. Existing law defines "local agency" for these purposes. This bill would recast these provisions to apply to a city, county, or special district that conducts an impact fee nexus study.